International credit ratings agency Standard & Poors (S&P) has lowered its 2009 growth forecast for the Philippines to 1.3 percent from its original projection of 1.7 percent.

In a report released Tuesday, S&P said the government's target growth range of 3.1 to 4.1 percent is unlikely to be met, especially with the country's 0.4-percent gross domestic product (GDP) growth for the first three months of the year.

"The Philippine economy appears to be slowing to a greater extent than expected, growing just 0.4 percent year on year in the first quarter," S&P senior analyst Agost Benard said.

Amid growing tensions over the moves to amend the constitution, S&P warned that country's credit ratings could be downgraded due to its higher fiscal deficit, which reached P119.7 billion for the first three months of the year.

Under S&P's ratings system, the Philippines was rated as BB-negative for foreign currency debt and BB-positive for its local currency debts. The agency's last rating action was in February 2006, when the outlook was upgraded to "stable" from "negative."

Early this week, National Economic and Development Authority Assistant Director-General Rolando Tungpalan said the government may cut its growth forecast for the year.

"I think a realistic assessment will have to be made...I think generally there is a more likely movement downward," he said. The government, however, has yet to release its revised growth targets.